Tuesday, 10 September 2024 09:55

Positive news around the corner?

Written by  Jessica Marshall
Beef and lamb prices have risen over the past four months, with beef up 16% and lamb up 21%. Beef and lamb prices have risen over the past four months, with beef up 16% and lamb up 21%.

Could there finally be positive news for the red meat sector after a period of challenging economic conditions?

According to the latest Bank of New Zealand (BNZ) Rural Wrap report, the answer is maybe.

The report states that beef and lamb prices have risen over the past four months, with beef up 16% and lamb up 21%.

“We say this not to suggest that prices are strong, far from it in lamb’s case, but rather to acknowledge some changing dynamics of late,” the report states. “Rising prices at this time of year is not unusual, but the gains over recent months have been a bit more than normal.”

According to the bank, part of the price gain is due to a tightening domestic supply, as evidenced by recent strength in store markets. However, there have also been pockets of price improvement on the export market.

“In NZ, lamb and cattle slaughter numbers have dropped significantly below year earlier levels, tightening local supply and putting upward pressure on prices.”

The report states that an early kill, especially for lamb, saw slaughter numbers for both lamb and cattle tracking around a third below figures for a year earlier in July.

Despite the price rises, beef and lamb find themselves in two different positions from a historical perspective.

Lamb prices are low and are currently approximately 13% below their five-year average. Meanwhile, beef prices are at record levels, about 14% above their fiveyear average.

More like this

Red meat rebound

The red meat sector is poised for a strong rebound this season, with export receipts forecast to top $10 billion and farm profitability to almost double.

Chilled cow cuts enter China

Alliance Group has secured greater access for chilled beef exports into China following approval of its Levin and Mataura plants to supply that market. With its first load of beef from Levin clearing Chinese customs in early January and a shipment from Mataura recently arriving in China, journalist Leo Argent talked to Alliance general manager safety and processing Wayne Shaw.

2024 red meat exports end on a high

New Zealand's red meat exports for 2024 finished on a positive note, with total export value increasing 17% over last December to reach $1.04 billion, according to the Meat Industry Association (MIA).

Co-op boosts chilled exports to China

Alliance Group has secured greater access for chilled beef exports to China, following approval for two of its processing plants to supply the market.

Featured

Helping protect sheep from parasites

Everyone from experienced veterinarians and young professionals to the Wormwise programme and outstanding clinics have been recognised in this year’s New Zealand Veterinary Association (NZVA) awards. As part of a series looking at this year’s rural winners, Leo Argent talked with Ginny Dodunski, winner of the Veterinary Impact Award for raising the profile of the Wormwise programme.

Top Māori sheep and beef farms showcase excellence in Ahuwhenua Trophy field days

Recently two of New Zealand's top Maori sheep and beef farms held field days as part of the prestigious Ahuwhenua Trophy competition. The two are: Whangaroa Ngaiotonga Trust, northeast of Whangarei, and the proprietors of Tawapata Onenui farm on Mahia Peninsula in southern Hawke's Bay. Reporter Peter Burke attended both field days.

Gongs for best field days site

Among the regular exhibitors at last month’s South Island Agricultural Field Days, the one that arguably takes the most intensive preparation every time is the PGG Wrightson Seeds site.

National

Machinery & Products

Buhler name to go

Shareholders at a special meeting have approved a proposed deal that will see Buhler Industries, the publicly traded Versatile and…

Grabbing bales made quick and easy

Front end loader and implement specialist Quicke has introduced the new Unigrip L+ and XL+ next-generation bale grabs, designed for…

» Latest Print Issues Online

The Hound

No more pines!

Forests planted for carbon credits are permanently locking up NZ’s landscapes, and could land us with more carbon costs, says…

Group hug!

OPINION: Forest & Bird and farmers don't often find themselves on the same side of an issue, with F&G's litigious…

» Connect with Rural News

» eNewsletter

Subscribe to our weekly newsletter